WOODLAND HILLS, Calif. - (Business Wire) As part of its commitment to help keep financially threatened Central Valley health clinics open during California
’s continued budget negotiations, Health Net of California, Inc., has disbursed more than $5 million in no-interest loans to 12 clinics.
“Health Net’s loan means we haven’t had to cut staff or shut down temporarily,” said Aurora Garcia, chief executive officer of Merced County’s Livingston Medical Group. “We’re still open and providing full services to our patients.”
With no state budget in place, funding to health clinics throughout California has come to a halt. Funding will resume when a new budget is in place.
“Without these loans, many of our clinics, which form the backbone of California’s safety net system, would have been forced to close or severely cut staff and services until the budget is resolved,” said David Quackenbush, chief executive officer of the Central Valley Health Network.
“Health Net is pleased to help,” said Dave Meadows, vice president of State Health Programs for Health Net. “It’s important that we play a role in helping keep health care available in California’s communities.”
The loan recipients and amounts are:
- Clinica Sierra Vista, Bakersfield: $770,000
- Del Norte Clinics, Yuba City: $300,000
- Family Healthcare Network, Visalia: $750,000
- Golden Valley Health Centers, Merced: $600,000
- Inland Behavioral Health, San Bernardino: $250,000
- Livingston Medical Group, Livingston: $350,000
- National Health Services, Shafter: $550,000
- Tulare Community Health, Tulare: $400,000
- United Health Centers, Parlier: $750,000
- Valley Health Team, San Joaquin: $200,000
- Vida Sana Medical Group, Lindsay: $40,000
- Westside Medical Group, Firebaugh: $50,000
About Health Net
Health Net of California, Inc., a subsidiary of Health Net, Inc. (NYSE:HNT), is one of the largest health plans in the state. Together with Health Net Life Insurance Company, it serves nearly 2.3 million members statewide, and contracts with more than 56,000 physicians, 300-plus hospitals and more than 5,000 pharmacies, giving its members greater choice and more convenient access to care. Its commercial HMO and POS lines of business and its Medicare line of business have received the "excellent" accreditation status from the National Committee for Quality Assurance, and its Medicaid line of business has received the "Commendable" accreditation status. For more information about Health Net, visit its Web site at http://www.healthnet.com/.
Cautionary Statements
All statements in this press release, other than statements of historical information provided herein, may be deemed to be forward-looking statements. These statements are based on management’s analysis, judgment, belief and expectation only as of the date hereof, and are subject to uncertainty and changes in circumstances. Without limiting the foregoing, the words “believes,” “anticipates,” “plans,” “expects,” “may,” “should,” “could,” “estimate,” “intend” and other similar expressions are intended to identify forward-looking statements. Actual results could differ materially due to, among other things, rising health care costs, negative prior period claims reserve developments, trends in medical care ratios, unexpected utilization patterns or unexpectedly severe or widespread illnesses, membership declines, rate cuts affecting our Medicare or Medicaid business, issues relating to provider contracts, litigation costs, regulatory issues, operational issues, health care reform and general business conditions. Additional factors that could cause actual results to differ materially from those reflected in the forward-looking statements include, but are not limited to, the risks discussed in the “Risk Factors” section included within the company's most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q filed with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements. The company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date of this release.
Health Net of California, Inc.
Brad Kieffer
818-676-6833
brad.kieffer@healthnet.com
